Best Thread T2W Guide to Trading: Options

[StockMarketGenie]

Where To Start With Options Trading

hi!! im totally new to this option tradimg and have tried the virtual trading in optionexpress and still confusing about the terms of option trading.. could i know from the option symbol wats the company that i would wanted to buy and secondly wat is bid and ask..and thirdly wats the diffence between PRICE Market, limit, stop & stop limit... finally how to sell the option after i have place the trade...tq

ppl needs help

Contact me if you want some suggestions for where to start.

 

[NEWOP43]

Services

Hi, what is your opinion on recomendation services, Steve sarnoff and the like. Where they pick-um I play-um?

 

[smgenie]

My view is that you should always make your own trading decisions. There are two main reasons for this.

First is you are the one who cares most about your own account. No one else is going to look after your interests as well as you. Plus you are the one who understands what risk level you are happy with and this is critical in establishing a trading approach.

The second reason is this. If you are taking trading direction from someone else, there is no personal investment in the decisons being made. And so when the trades don't work out you will immediately want to abandon the trading system. This makes it very hard to follow trades that are given to you with no understanding on your part.

David
StockMarket Genie Trading System

 

[loui10]

I lost my life savings (net worth) with ODL securities on an advisory basis in 5 months. I invested £71,500 and was left with just £900. The Brokers name was Frank Freeman and traded options. I was commissioned over £32,400.

The case has now gone to the Ombudsman for arbitration.

If you want to know more email on: [email protected]

 

[yakatan]

I lost my life savings (net worth) with ODL securities on an advisory basis in 5 months. I invested £71,500 and was left with just £900. The Brokers name was Frank Freeman and traded options. I was commissioned over £32,400.

The case has now gone to the Ombudsman for arbitration.

If you want to know more email on: [email protected]

What sort of trades were you putting on?
It seems you had no risk management. £32K is either extortionate commission rates or you were over trading like there was no tomorrow.

Everyone I know that took investment advice has lost their money. I think there are extremely few honest advisory brokers out there.
Hope you win the case.

 

[mubeenmohd]

thanks a lot

 

[opex]

Thanks for the reading suggestions. I've heard good things about McMillan and Natenberg.

 

[bakrob99]

I lost my life savings (net worth) with ODL securities on an advisory basis in 5 months. I invested £71,500 and was left with just £900. The Brokers name was Frank Freeman and traded options. I was commissioned over £32,400.

The case has now gone to the Ombudsman for arbitration.

If you want to know more email on: [email protected]

This guy is posting this all over the place. What is the point?

 

[pcholistic]

There's also a good list of free options resource avail at

http://optionstradingresource.blogspot.com

 

[jaspertrademaster]

Way to go Roger!

 

[trader8686]

Does anyone here know of any FX Option Broker/ Trading Station that will allow me to place limit/pending orders with Delta or Strike number?

I have Core Option, but it is limit order by premium only, I had no idea to calculate premium, especially when the market is very volatile.

 

[jaspertrademaster]

I missed this earlier, but am glad I came upon it.

 

[meanreversion]

I think I get it. Don't gamble your entire life savings with a broker called Frank Freeman.

 

[lowriskinvestor]

Hi

I think that the S&P 500 will fall below 600 in the next 3 years and I want to buy a put option to invest in this belief.

I would be grateful if someone could tell me where I can find long term quotes for S&P 500 options please.

Thanks!

 

[A Dashing Blade]

Dec 2012 options traded on CBOE, looks like strikes only go down to 1095 tho'
That leaves OTC options which your broker "may" be able to find out about.

 

[lowriskinvestor]

Dec 2012 options traded on CBOE, looks like strikes only go down to 1095 tho'
That leaves OTC options which your broker "may" be able to find out about.

Thanks for your help!

I'll check with a broker then.

 

[tofu soup]

does anyone have any experience with optionedge? its a free excel workbook to analyze positions and keep track of your results.

http://www.oedge.com/

 

[MaxGriddy]

does anyone have any experience with optionedge? its a free excel workbook to analyze positions and keep track of your results.

http://www.oedge.com/

No. But it surely cannot beat options oracle.

 

[tofu soup]

that one does seem to be more useful. thanks

 

[tofu soup]

in the back of natenberg's book is a list of recommended reading.

anyone read any of these? im especially curious about the intermediate and advanced books:

intermediate:
option pricing and investment strategies by richard bookstaber
equity options: valuation, trading and practical strategies by hugh denning
financial options: from theory to practice by stephen figlewski
financial options by desmond fitzgerald
trading financial options by labuszewski

advanced books:
option pricing by menachem brenner
option markets by john cox
option evaluation by rajna gibson
option pricing by robert jarrow
options: theory, strategy and applications by peter ritchken